July 16, 2020

By Lynda Kiernan, Global AgInvesting Media

John and Kate McLoughlin are looking to divest Roxborough Downs and Mudgerebar Station in the north-west region of Queensland in a $40 million deal. 

The McLoughlins acquired Roxborough Downs from NAPCO more than 10 years ago, and added Mudgerebar a number of years later, according to Commercial Real Estate. 

The two neighboring stations which operate as a single entity and are located south of Mt. Isa, total 423,494 hectares (more than a million acres) and are currently running 16,000 head of cattle. However, under the terms of the offering, the cattle are not included in the sale.

Rawdon Briggs of Colliers International, who is brokering the sale together with Bram Pollack, noted that the stations are set in the renowned Channel Country and include a range of land types saying, “It is an impressive diversity of country types, not just channels.”

“When it’s really dry, channels can be challenging. Having the balance of gidyea, channels and Cloncurry buffel grass country makes for a well-rounded offering with good even production.”

The properties also have the advantage of beneficial floods from storms that damage other areas of Queensland, and are soon to see new roads along both borders of the combined parcels (next year) – a key consideration when faced with transporting cattle during the rains.

And The Year is Only Half Over

This year has been unlike any other in recent memory. COVID-19 has caused significant disruption to the global economy, trade, and food processing industry, and has resulted in hunger as well as food waste as the fragility and inelasticity of our supply chains becomes evident.

However, it has also been a dynamic year for Australia’s cattle sector, with numerous high-value deals being announced. 

In February, Rallen Australia, a South Africa-based company backed by Givanni Ravazzotti, one of South Africa’s richest men, his daughter Luciana Ravazzotti Langenhoven, and his son-in-law Pierre Langenhoven of Sydney, Australia, spent $70 million to acquire the Tanumbirini and Forrest Hill stations in the Northern Territory  from Thames Pastoral.

One month later, in March of this year, Clean Agriculture and International Tourism (CAIT) closed on a deal to acquire three cattle stations – the Auvergne and Newry stations in the NT, and the Argyle Downs station in WA totaling 732,900. – from Consolidated Pastoral Company (CPC).

Last month, the 8797-acre Leeora Downs in the Arcadia Valley was acquired by the Crowther family, and only weeks ago the 3,851-acre Prospect Park in Queensland sold at auction for $8.6 million. 

Also in recent weeks, billionaire Andrew Forrest came out on top from a field of 14 bidders, to acquire the Quanbun Downs and Jubilee Downs cattle stations near Fitzroy Crossing in Western Australia in a deal exceeding A$30 million (US$20.9 million). 

Additionally, Hewitt Cattle Australia, a joint partner of Canadian pension fund – Public Sector Pension Investment Board (PSP Investments), listed its Mt. Cooper aggregation in Northern Queensland for sale in May, and AJM Pastoral Company listed the 561,918-acre Saxby Downs for sale, along with 20,000 head of cattle, earlier this year. 

 – Lynda Kiernan is editor with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, and HighQuest Group’s Oilseed & Grain News. She is also a contributor to the GAI Gazette. She can be reached at lkiernan@globalaginvesting.com.